August 29, 2014 10:40 AM

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SEBI issues norms for sharing KYC details with financial regulators

The Securities and Exchange Board of Inda (SEBI) today said it will allow sharing of Know-your-Client details with entities regulated by other financial sector watchdogs. So far, the facility of sharing of KYC information was available only among Sebi-registered intermediaries.The KYC information of nearly 2 crore investors in the capital markets is available on the centralised KRA (KYC registration agency) system of Sebi.Sebi in a notification issued in Mumbai said the system of KRA may be connected with any central KYC registry authorized by the Central Government for the purpose of collation and sharing of the KYC information in the financial sector. The new norms would be called as the 'Securities and Exchange Board of India KYC Registration Agency. The market regulator further said, under the Sebi system, a client who has already done the KYC with any Sebi registered intermediary need not undergo the same process again when he approaches another intermediary. Earlier, Sebi had said that a common KYC process for the entire financial sector would help reduce the paper-work and bring down cost of operations for the investors as well as for the intermediaries.

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